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A Different Insurance Solution

How Parametric Shield Works

Protect Your Business With Parametric Shield

Unlike your standard liability insurance policy, Parametric Shield does not depend on a claimed loss to provide business owners with fast access to capital to recover from the business disruptions caused by violent crimes. 

What is Parametric Insurance?

Your Protection Halo

Parametric Insurance is insurance that triggers immediately upon a qualifying event – with no claims adjustments.

Parametric Shield is a parametric insurance product that is specifically designed to protect against the financial impact of violent crime on small businesses.

By using INSDEX, data is provided by local law enforcement on a daily basis that reports potential active Parametric Shield cases by Zip code. If a qualifying event has happened in a covered zip code and within an agreed-upon radius of a covered property, Parametric Shield will contact the business to let them know a claim may be made.

Example: An Aggravated Assault occurs in the parking lot within 700 feet of a covered property and is reported via Dallas Police Department’s database – Parametric Shield Customer will be contacted and paid out upon claim.

About Parametric Shield & History

Intangible cost of violence

The scenes in recent years of rioting and upheaval in American cities and across the US has left a stark reminder that violent crime remains a serious problem for all citizens of the US.

Insurance solutions have tended to focus on the tangible losses such as loss of income, business interruption, physical and property damages, and liabilities. Yet researchers have found that the less visible or intangible costs of violence are silently destructing the future value of the businesses in a neighbourhood or vicinity where crime is rampant.

These studies show that the violence can lower businesses’ potential to attract customers, retain employees, grow, and attract investments. It also forces businesses to spend more in legal and security costs whilst depreciating the value of fixed assets.

These costs are known to be difficult to insure with traditional indemnity products and to most are seen as uninsurable due to the difficulty of quantifying and validating the losses. For example, it is difficult to put a price on the damage to the brand of a restaurant or hotel, should a shooting occur outside its premise. This created the demand for Skyline’s recently launched parametric solution.

Conceptually the idea remains simple: if a violent event, shooting or stabbing, occurs within an insured area, the policy pays out a pre-agreed limit almost immediately after the event is published by the Police Department. The funds can be used by the policyholder as they see fit and can cover lost revenue, loss of future footfall, loss of attraction, injury costs or legal costs, or any other cost or loss of income due to the violent event within their vicinity.